 This YouTuber claims that this trading strategy made him 113% profit in just 100 trades with a win rate of 75%. Today we're going to review and test this strategy to see if it holds up. What's up guys, I'm Jay and welcome to Bitcoin Daily. Recently I decided to begin testing some of the most popular YouTube trading strategies. During my research I came across a bunch of channels that post up different trading strategies that claim that they have 60, 70 or even higher win percentage making insane profits. But what I found is that most of these strategies didn't actually work. So I am picking out the most popular strategies on YouTube and then coding together a script so that I can back test these strategies using TradingView's back testing feature. I then show you guys the real results and win rate of these strategies with over 2000 back test trades across 7 different time frames. As we find profitable strategies I will take the best performing ones and put them to the test with real money. If you're interested in getting access to these TradingView scripts that I create stay tuned to the end. So let's dive right in. Remember that this content is for educational purposes only and is not financial advice. Do your own research before risking any of your own money. So if you're new here don't forget to subscribe to the channel and smash that like button. So first let's dive into the indicators that you need on your chart to be able to do this strategy. So first is a 200 day EMA. So just search for EMA click moving average exponential we're gonna go to inputs change the length from 9 to 200 go to style change the color to white and make it a little bit more visible for us here and then hit OK. Next we're going to add the stochastic indicator just type in stock and it should be the first one right here. Add that to the chart. We're not touching this one. We're leaving this one with the default settings third we're going to search stochastic again this time we're clicking stochastic RSI adding that to the chart. Once again we're going to be leaving this indicator with default settings. We're not changing anything on it. We're searching up TSV or time segmented volume and this indicator is by white lot. Go ahead and add that to the chart. We're going to leave the inputs with the default settings. We're going to go to chart and we're going to take off this one right here which is the moving average. There's no need for that and then hit OK. Now here comes the one that you guys all know is coming. Now the final three indicators will be the super trend indicators. It will be a triple super trend indicator strategy. So search super trend this one right here by Kivan. We're going to just click that three times and we're going to go into the style section of each of them and remove the buy and sell signals and we're also going to remove the highlighters and hit OK. All right so we have our three super trend indicators and now we have to change the inputs a bit here. So for the first one we're going to leave the ATR period at 10 and the only thing we're changing is the ATR multiplier which we will be switching to one and hitting OK. The second one we're changing the ATR period to 11 and we're changing the ATR multiplier to two hitting OK. And the final one will have an ATR period of 12 and a ATR multiplier of three we're going to hit OK. And now the chart is finally set up. I know it's a lot of indicators so hopefully this is profitable. All right so let's talk about our entry rules. First in order for a long entry the price needs to be above the 200 day moving average which is the white line. Second the TSV indicator here needs to be above the zero line. So the bars are going up like that. That means that it's above the zero line if they're going down like these right here that means it's below the zero line. Third we need at least two of the super trend indicators with green lines as you guys can see right here two green lines one red line. And finally we take a look at our stochastic indicators for some confirmation and what we need to see here is that the stochastic is in the oversold territory. Either one of these can be in oversold both of them don't have to be in oversold but none of them can be in overbought. So for example right here we see that this is in oversold. If we look at this one it's not oversold but it's not overbought. So because it's not overbought this is a confirmation here that we can take an entry. So we look at the rest of our signals. We see the TSM we see the TSV it's above the zero line. We see the price is above the white 200 day moving average and we see that we have at least two green super trend indicators. So we would enter on the close of this candle right here. Now for a short entry is the exact same thing but flicked. We need prices to be below the 200 day moving average. We need at least two red super trend indicators. We need at least one of the stochastics to be in the overbought territory but none of them could be oversold and we need the TSV to be below the zero mark. You can see that all plays out basically on this one right here on this candle and that would have been a short entry. Now let's talk about our exits because they're just as important as our entries. So for our exits we're setting up our stop loss either at the bottom of the pullback or at our super trend line that is furthest away. Whichever one is furthest. So usually is going to be the super trend indicator for coding functions. That is how we're going to be setting up the roll where we're setting our stop loss always at the furthest super trend indicator. Then depending on where our stop loss is we're going to be setting up two different areas to take profits. One is going to be at a one to one and the second one is going to be at a two to one. So you can see right here says risk to reward ratio right now is 1.01 So we just want that to be exactly one to one. That would be the first area where we would take profits. You can see that we hit that right there on that candle. Then we take profit on the rest of our position at a two to one ratio. So basically just move this from one to two and you will see that we would have also hit that take profit right there as well. So you see that here we would have made a profit of about 3.26% if we would have risked 2% like he shows in the video would have been a profit of about 6% on that trade. Again for a long entry we're setting it up once we see those same signals setting our stop loss at the bottom super trend line. Our take profit is going to be set at one to one and then we just watch the trade play out. You can see that here it almost hit our stop but it didn't it continued up and then here it finally did hit our stop loss. So that long trader right there you can see that it's a loss of about 1.5% on that trade. You stop out at breaking it for the rest of that position so you still made a bit of profit. So now that we know our entry and exit rules for both long and short and we've shown you guys some examples let's compare these examples with the bot that I got coded together to follow this exact strategy. So I'm going to turn the bot on here I'm going to turn off the indicators here because the bot is already showing me the indicators and let's look at the examples that we just went over. So the first example that I showed you guys for a long entry you can see right here the bot has triggered that long entry. These two little green lines is the take profit and this little red line is the stop loss. So if we put our stop loss right where the red line is and move down to the green line you can see that is a one to one risk-reward ratio trade. So exactly as we have described to you guys the rules. On the second example that we showed you guys which was a short entry you can see that the bot triggered a short right here. You can see that it took profit right here. Let me clear it out a little bit for you guys. You can see it says TP1 short for 0.5 so that's half the position and TP2 short here for 0.5 for the rest of the position here. So it hit both TP1 and TP2 on this short entry. If we look at the final long entry that we showed you guys you can see that it triggered here exactly where we set up our trade and it has the exact same take profit areas with TP1 being up here, the stop loss being down here, one to one ratio and the stop loss hitting over here so it closed the trade at a loss. So we now know the indicators. We know the rules for entry and exit and we know that the bot is working. So the only thing left to do is back test this over 2,000 times across seven different time frames. Let's see what the results are. So we have completed our back testing and are ready to give you guys the results. We did 2,100 back test trades following the exact strategy across seven different time frames to try to find you guys the best possible results that we can, right? So let's go ahead and take a look at our results here. I know you guys see a lot of green might make you a little excited but one of the things that we saw here in our best performing timeframe which was of course the four hour timeframe here you guys can see that after 300 trades it was up 146.63% with a win rate of 44%. However, if we look at the actual chart here for these results, we will see that if we just bought and held Bitcoin we would have basically been way up and now we basically be break even at this moment with just holding Bitcoin. So that's one of the things that we always take into account. Now of course there's many variables that can change these results including how much you're risking per trade if you're trading with or without leverage if you're trading while using Bitcoin itself or if you're trading using USDT so there's a lot of variables that you do have to take into account. This just gives you an idea for you to go back and kind of play with. If we look at our second best performing timeframe here which was of course the two hour after 100 trades it was up 21% after 200 trades 73% and after 300 trades 62% with 41% win rate. When we compare it to just buying and holding Bitcoin once again we see the same thing buying and holding would have been way more profitable than just trying to do this strategy. At this point now is when we would be in profit above Bitcoin and you can see that half the time here we were in the red, right? With a max drawdown of 23%. Those are the things that we have to take into consideration when looking at these results can't just go by the net profit in that timeframe because what did Bitcoin do in that same exact timeframe just buying and holding? And then our worst performing timeframe which was a surprise to me was the one hour timeframe. In the YouTube video here the one hour timeframe is actually what is being used in this video. Now we do have to take into account they did their tests based on the Euro. We're doing it based on Bitcoin and they did it back in 2014 and 15. I don't know why they went so far back. Was that how far back they had to go in order to make this strategy a 75% winner and a 113% profit? I don't understand that. I think that you need to do the immediate time that just happened. I don't know why you would go back to 2014 and 15 and this video was put out like a year ago. So that's definitely a red flag for me here but on the one hour timeframe their win percentage was 75% and their net profit gain on the account was 113%. Obviously we're nowhere near those numbers. Even on our best performing timeframe which was a four hour, the best that we did was hit on a 46% win rate. That is literally the highest. I don't know how he got 75% because we were nowhere close to that 75%. And then on the lower time frames the best performing one here was the 15 minute timeframe. You guys can see after 300 trades it was around 14.5% net profit with a win rate of 40%. A 1.237 profit factor. If we compare this to buying and holding Bitcoin you can see that we definitely outperformed Bitcoin here. The blue line is Bitcoin, the green is our trades. And if we just go back as far as the 15 minute backtesting chart lets us go you'll see that on 614 trade which is probably like six months or so the net profit is only a 0.91% with a percent profitable at 38.44%. And you can see that the majority of this time it was in the red and now is that it's basically at break even. So although it is outperforming Bitcoin it this looks like it's just kind of break even, right? Maybe go up a little bit sometimes maybe down a little bit but it doesn't look like it's really going to give you any crazy profits long term because we're always trying to think long term as a market changes. So overall I give this a grade of two out of five stars. You can see it here compared to the other strategies that are tested. This one has a one star, this one's a two star. This one's also a two star even though it did have a bigger average net profit than the other two. However, it also had a very low win rate here which it just doesn't make it viable for me to even try to run this with real money. So because of that I'm keeping it at a two out of five stars. I think the way I'm grading it if I hit a three star then I'm going to at least begin to run some type of real money on it and four or five stars then those funds will be a lot more. So because I still myself would not put real money into this I would not want to risk money running this strategy. I'm again keeping it at a two out of five stars here. Let me know what you guys think about this strategy. Are there any optimizations that you would make to make this a little bit better? Also in the comments if there's any other of these strategies that you have seen on YouTube that you want me to review drop it in the comments as well and I will be more than happy to review it for you guys. Don't forget to subscribe to the channel and smash that like button. If you guys are interested in getting the scripts and codes for any of these strategies you can join my private discord server where I will make all of these scripts available to my VIP membership group. Now if you guys like to trade in the one or two hour timeframe and are looking for a profitable strategy check out this video that I did here where I tested another trading strategy 2100 times and on the one hour timeframe it was by far the best results that I have gotten so far. Just click the video on the screen right now. I'll see you guys on the next one. As always peace and love.